Heed This Advice to Avoid Skyrocketing Postal Costs

Postage costs could nearly triple for campus departments that do not comply
with new Postal Service rules going into effect beginning this summer. But
with some effort, the same rules will also allow departments to reduce their
postage for many types of mailings.

"We're about to enter a new era in mail processing." says Mail Services
Director Bill McCart. "The Postal Service has been automating its operations
for some years, but now they are restructuring their 100-year-old
classification and rate system to further automation. They're calling their
restructuring effort 'Classification Reform,' and it's the biggest change to
mailing requirements in the last hundred years--and that's no exaggeration.

"Departments that move to take advantage of the new rules will be able to
reduce their postage costs. And in doing so they will generally get faster,
more accurate service. Those that don't, however, will definitely pay more in
postage," said McCart.

Mail Services will undertake a major educational effort on campus this summer,
beginning with orientation sessions for MSOs and department business managers
in late May. (See dates below.)

"Departments really need to pay attention to these changes," said McCart. "The
impact on Berkeley will be significant. We don't want anyone to be caught
unawares and then have to pay the price."

"To take advantage of classification reform and keep our costs and recharge
rates down, we have to find ways to automate the campus's outgoing mail," said
Kay Ingle, operations manager.

"Mail Services has the equipment to do it, but faculty and staff will need to
change how they prepare and address their mail. To help them, we will be
introducing new addressing guidelines in June."

The new postal reforms will have their greatest impact on the non-profit bulk
rate. Much of campus's mail is sent at this low rate; nearly every department
uses it.

The new rules, which include annual ZIP Code verification and certified
sorting software, will go into effect for it no later than Oct. 6.

According to Roger Hefty, bulk mail supervisor, the only cost-effective way to
meet the new rules is to maintain addresses in a database.

"Departments that maintain paper lists or lists that can't meet the
requirements won't qualify for the non-profit bulk rate. That leaves first
class as the only alternative."

Departments that do not comply will end up paying 32 cents per piece, rather
than the current 12.4 cents. "In the current budget climate no department can
afford that kind of increase," said Hefty.

For more information, contact McCart at 643-7397 or mccart @uclink.
Information can also be found on Mail Services' web site (http://garnet:4250).